Forward Industries, the largest institutional holder of Solana (SOL), has unveiled a $1 billion token buyback program aimed at repurchasing SOL from the open market over the next 12 months. The announcement came on November 9 and was described by the company’s CEO, Elena Vasquez, as a “strategic vote of confidence in Solana’s long-term ecosystem dominance.”
The news follows a sharp decline in SOL’s price, which has fallen 31% over the past month, dropping from $229 on October 10 to $151.84 amid broader crypto market volatility. Forward Industries holds over 5 million SOL, valued at roughly $750 million at current prices, and plans to target dips below key support levels to maximize accumulation.
Despite the buyback announcement, the market reacted cautiously. SOL fell another 2% immediately afterward, with a 24-hour trading volume of $5.6 billion. Analysts cite multiple pressures, including U.S. regulatory scrutiny, Bitcoin’s slump below $90,000, and institutional capital outflows from exchanges. Recent on-chain data show $450 million in SOL leaving exchanges in the last week.
Critics question the timing of the buyback. Max Keller, a crypto analyst at CoinDesk, noted, “In a downturn, a $1 billion repurchase sounds bold, but it’s essentially using Forward’s own holdings to support a falling market.” The program could absorb roughly 6.6 million tokens, representing a small fraction of Solana’s 466 million circulating supply. Concerns have also been raised about Forward’s recent $200 million debt raise at premium rates.
Supporters argue the buyback could signal a strong contrarian opportunity, comparing it to Binance Coin’s (BNB) 2020–2021 surge following repurchases. Dutch analytics firm Crypto NL predicts SOL could reach $600 by the end of 2025, citing Solana’s transaction speed, growing DeFi presence, and institutional backing. Nasdaq research highlights potential catalysts, including mobile adoption via Saga phones, increasing meme coin activity, and ETF approvals. Conservative forecasts from JPMorgan Crypto range between $180–$220.
Technically, analysts are watching the $160 support level closely. A hold above this could trigger a relief rally toward $200, while a break below may push SOL down to $130, near its 50% Fibonacci retracement from its all-time high.
Vasquez emphasized that the buyback is part of a long-term strategy. “We’re not timing the market; we’re building the future,” she said.
Follow on Google News
